Due to the economic crisis and inflation in Argentina, the material value of the coins became higher than their face value. This led to people smashing and selling coins.
Argentina is a country that has been struggling with economic difficulties and inflation in recent years. The country’s currency, the peso, has lost a lot of value against the dollar. This situation negatively affected the country’s economy and the purchasing power of the people. In countries with high inflation, the value of coins often falls. Because the nominal value of coins is lower than the material value. But in Argentina the opposite happened. your coins The material value has become higher than its nominal value.
Argentina’s inflation rate in April 2023 reached 108.8%. This is one of the highest inflation rates in the world. The reasons why inflation is so high include the government’s printing of money, fluctuations in exchange rates, increases in energy and food prices, tax and spending policies. All these cases had an interesting result.
Argentines are trying to smash and sell their coins and make a profit
The prices of copper and zinc used for coin production in Argentina have increased in recent years. This led to the coins being worth more metal than their face value. For example, The metal value of the 1 peso coin is around 1.5 pesos. For this reason, some people prefer to melt the coins and sell them as scrap. This hurts both the government and the citizens.
Argentina’s inflation problem is an urgent issue that needs to be resolved. The government’s tightening of monetary policy in order to stabilize the country’s economy, reducing the budget deficitIt needs to complete debt restructuring and implement structural reforms. Otherwise, Argentina’s economic future may come to an unrecoverable level.
Coins in the video 1.2 grams of nickel, 5.5 grams It also contains copper is stated.
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This incident in Argentina,Could it be in Turkey?‘ begs the question. Türkiye is also a country struggling with economic difficulties and inflation. The value of the Turkish lira against the dollar is also low. However, the material value of coins in Turkey is not higher than their nominal value. For this reason, there is no such thing as Argentina in Turkey.
Finally, let me state that it is against the law to do this. If you try to melt or break the Turkish Lira and sell it, you will face penalties.
Source :
https://www.worlddata.info/america/argentina/inflation-rates.php#:~:text=During%20the%20observation%20period%20from,year%20inflation%20rate%20was%20104.3%25%.